Users of Decentralized Autonomous Organization MakerDAO have voted to raise the so-called stability fee for Maker’s DAI stablecoin by 4 percent

Users of Decentralized Autonomous Organization (DAO) MakerDAO (MKR) have voted to raise the so-called stability fee for Maker’s DAI (DAIstablecoin by 4 percent, according to the results of a recent poll completed on March 21.

The firm announced on Thursday that users had voted yes to the proposal to increase the stability fee by 4 percent, from 3.5 percent to 7.5 percent. The reasons provided by the post are that the DAI’s exchange persists under one dollar, high inventory levels among market makers and prop desks, and insufficient impact from the previous fee increase.

The MKR token holder could choose whether to raise the fee by zero, two or four percent. Still, the vote page explains that “the absence of any significant volume clearing near $1 indicates that there needs to be stronger incentives in place” than a 2 percent increase.

Lastly, the post admits that a 4 percent increase is “the largest one-time raise, and runs the risk of overshooting our estimate. Of course, the correct Stability Fee could still be 7.5% or higher.” The MakerDAO token MKR, which grants voting rights, is currently ranked the 16th largest cryptocurrency on CoinMarketCap and is up 1.12 percent at press time.

Also read: Bitcoin critic and general manager at the Bank for International Settlements advised against the issuance of CBDCs

Source: https://cointelegraph.com/news/accepted-makerdao-vote-to-raise-dai-stablecoin-stability-fee-by-4-to-75-per-year